Is Workers Compensation Coverage Included On Homeowners Insurance?

Household Workers Compensation

If a household worker or contractor is injured, you may be liable! If you ever hire a nanny, babysitter, housecleaner, gardener, or a handyman, you may be liable if they are injured.

States have different rules and regulations as it pertains to Workers Compensation Coverage on Homeowners Insurance Policies.   For example, in the State of California, State Law requires policies to provide Workers Compensation Coverage for occasional residence employees.

Although definitions may vary, occasional residence employees are most often defined as an individual not to exceed 20 service hours per week. The most common use for this coverage is to provide protection for a cleaning lady temporarily working in a home.

For homes requiring a greater number of hours of service by employees, endorsements may be available to include in servants and out servants on a per employee basis. It is important to review the endorsement definitions and understand the underwriting regulations pertaining to this coverage by each particular carrier.

In servants include household employees such as maids, butlers, cooks, seamstresses, babysitters and housekeepers. Out servants generally include household employees such as maintenance person, handyman, gardener and pool service person.

Although the majority of homeowners don’t think about household Workers Compensation Coverage, there is a reason why most states require the coverage to be part of the homeowners insurance policy; an employee accident could be awfully devastating to the financial position of the homeowner if not insured.